This Article is From Apr 06, 2009

Ex-Israeli PM Olmert to face fraud charges

Jerusalem: Israel's Attorney General on Sunday decided to press charges of fraud and breach of trust against former Prime Minister Ehud Olmert, who had to resign from office due to a string of corruption charges against him.

Menachem Mazuz decided to press charges of fraud and breach of trust against the former premier in a third case popularly known as the Investment Centre Affair.

The final decision on the case is pending a judicial hearing which Olmert will have to face before the Attorney General's Office.

The former Prime Minister's involvement in the Investment Centre Affair datesback to 2002 when he was the Industry, Trade and Labour minister. He is suspected of having used his authority to advance a real estate deal headed by his confidant, Attorney Uri Messer.

"The affinities, joint interests and connection between Olmert and Messer, which were unknown to those around them, made him committed to Messer," a statement from the Attorney General's office said on Sunday.

"(Olmert) was bound to recuse himself of any matter involving Messer and his clients," but instead, he made sure to be well versed in their business, "despite a clear conflict of interest," it added.

In a memorandum informing Olmert's attorneys of his decision, Mazuz said that given the somewhat limited scope of the case he would like to hold all the judicial hearings against the former Prime Minister, including two earlier cases in a consecutive fashion.

Mazuz explained the decision by saying that all three cases may eventually culminate in one joint indictment.

Olmert's resignation led to snap polls and the formation of a new government, effectively ending his illustrious political career spanning more than three decades.

Earlier, the former Israeli leader was indicted on charges of receiving envelope stashed cash from an American businessman and double billing charities on trips abroad to use the ill gotten money to fund holiday trips of family members.

"Olmert is proud of all the decision he made in order to advance Israel and the Negev's industries and he would undoubtedly make the same decisions today," Amir Dan, the former Prime Minister's communications director, said in response to Mazuz's decision. "This case will surely meet the same end as the Leumi and Cremieux cases before it will be closed."

The Bank Leumi case, in which Olmert was suspected of using his influence to ensure that Australian businessman Frank Louie won the bank's privatisation tender, and the Cremieux case, in which he was suspected if eliciting a significant discount on the purchase of a house on Jerusalem's Cremieux Street, were closed by the police due to lack of evidence.
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